An Post enters parcels partnership with DHL

State-owned postal group seeks to grow its share of the e-commerce parcels market

Staff at work in An Post’s Merrywell Parcels Depot in Dublin. An Post is planning to grow its revenues from parcel deliveries to more than €200 million by 2020. Photograph: Maxwells Dublin

Staff at work in An Post’s Merrywell Parcels Depot in Dublin. An Post is planning to grow its revenues from parcel deliveries to more than €200 million by 2020. Photograph: Maxwells Dublin

 

An Post has signed a deal to grow its share of the e-commerce parcels market by joining the DHL Parcel Europe network.

“The partnership demonstrates our strategy of refocusing our parcels business and aggressively pursuing new Irish and international e-commerce business,” said Garrett Bridgeman, head of An Post’s parcels division.

The development comes two months after An Post signalled plans to grow its share of the fast-growing parcels segment of the market to 35 per cent by 2020 from 25 per cent currently. This would involve growing revenues to more than €200 million from €120 million at present.

New campaign

The company launched a new campaign over the summer, dubbed “World Wide Open”, following extensive industrial relations negotiations with workers, to enhance its parcel service to include Saturdays and weekday evening deliveries in urban areas.

Around six billion e-commerce parcels are being shipped within Europe each year, with Germany, France and the UK being the largest markets. According to Eurostat, 55 per cent of internet users in Europe already shop online, but only 32 per cent of them do so outside of their country.

An Post estimates that the DHL partnership will soon be responsible for nearly one million parcels coming into this country. There are currently 25 other countries across DHL’s Parcel Europe network.